Income/Franchise:
Maine: Amended Rule Reflects New Bright-Line Nexus Standard Under Corporate Income Tax
Amended Reg. Section 18-125-808, Me. Rev. Serv. (eff. 5/10/22). Maine Revenue Services amended “Rule 808” (Maine Corporate Income Tax Nexus) to:
Reflect recent legislative changes related to factor presence nexus thresholds that apply to tax years beginning on or after January 1, 2022 [see LD 1216 / HP 891 (2021) for more details on these law changes], and
Make certain technical changes, such as clarifying the definitions of a foreign corporation and partnership.
Maine corporate income tax law now incorporates a “bright-line” economic nexus standard applicable to tax years beginning on or after January 1, 2022, so that a corporation generally is deemed to have nexus with Maine if it:
Is organized or commercially domiciled in Maine; or
Is organized or commercially domiciled outside Maine but has property, payroll or sales in Maine exceeding any of the following thresholds for the taxable year:
For property, $250,000;
For payroll, $250,000;
For sales, $500,000; or
25% of the corporation’s property, payroll, or sales.
30 Rockefeller Plaza New York, NY 10112-0015 United States
About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms, and their related entities (collectively, the “Deloitte organization”). DTTL (also referred to as “Deloitte Global”) and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more.
